Ethics in Action
Case #5
R#1 Even though Jennifer is the new manager and has no reason to distrust her employees, she also has no reason to trust them. This is really an issue of a preventative internal control over cash. Considering that Jennifer cannot constantly monitor each cashier and each cashier has contact with cash, it is reasonable to test the honesty of each cashier.
R#2 Jennifer has a fiduciary responsibility to oversee and manage the store’s assets and related operations. Part of that responsibility is to safeguard and protect all the assets, including cash. Simply checking the integrity of each cashier is not unethical. Jennifer is not singling out a specific cashier but rather testing every employee who has contact with cash. Furthermore, to be effective, it has to be done without their knowledge. Otherwise, she could not realistically test the employee if they know that they are being tested. Accordingly, her conduct is not unethical. Jennifer should not inform the employees of her test. Once an employee found out, they would quickly tell others and soon every current and future employee would know and thus could not be tested by baiting the cash drawer.